HDII Hypertension Diagnositc Inc (CE)

Hypertension Diagnostics, Inc. (OTCBB: HDII), today announced financial results for the third quarter of fiscal year 2008 ended March 31, 2008. Revenue for the quarter totaled $103,264 compared to $469,151 in the prior year�s third quarter ended March 31, 2007, a 78.0% decrease. The Company incurred a net loss of $348,825 for the current quarter or $(.01) per share compared with a net loss of $76,948 for the prior year�s quarter or $(.00) per share. Included in the net loss of $348,825 for the quarter are total non-cash charges (expenses associated mainly with stock compensation, depreciation, stock options) of $146,784. Included in the net loss of $76,948 for the prior year�s third quarter were non-cash charges of $108,713. The Company reported a cash balance of $1,155,788 on March 31, 2008, a decrease from $1,376,632 reported on June 30, 2007. For the nine month period ended March 31, 2008, total revenue was $395,278, compared to $1,440,359 for the same period one year ago, a 72.6% decrease. For the nine month period ended March 31, 2008, the Company incurred a net loss of $639,585, or $(.02) per share, compared with a net loss of $490,433, or $(.01) per share, for the same period one year ago. �The decline in quarterly revenues for the current fiscal year is due to a change we made recently in our selling strategy,� said Mark Schwartz, Chairman and CEO. �For the last several months, the Company has been engaged in a search for a distribution partner or partners with an established national sales force or national distribution network serving the primary care market. Our objective is to integrate the CVProfilor product into the partner�s existing cardiovascular disease product platform rather than selling through our own dedicated sales force which has been eliminated. Although no assurances can be given that the Company will identify a suitable partner or partners or that the Company will consummate mutually satisfactory arrangements with a partner or partners, we believe that this is the best strategy for broadening distribution and increasing sales of the CVProfilor.� Forward-looking statements in this press release are made under the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The Company wishes to caution readers not to place undue reliance on any forward-looking statements and to recognize that the statements are not a prediction of actual future results. Actual results could differ materially from those presented and anticipated in the forward-looking statements due to the risks and uncertainties set forth in the Company�s 2007 Annual Report on Form 10-KSB, and subsequent Quarterly Reports on Form 10-QSB, all of which were filed with the U.S. Securities and Exchange Commission, as well as others not now anticipated. Hypertension Diagnostics, Inc. Summary Financial Data � Statements of Operations (Unaudited) � � Three Months Ended Nine Months Ended March 31 March 31 2008 � 2007 2008 � 2007 � Revenue: Equipment sales $ 46,191 $ 404,800 $ 229,826 $ 1,214,606 Equipment rental 32,029 57,955 113,814 198,540 Service/contract income � 25,044 � � 6,396 � � 51,638 � � 27,213 � 103,264 469,151 395,278 1,440,359 Cost of Sales � 19,772 � � 13,899 � � 34,213 � � 47,474 � Gross Profit 83,492 455,252 361,065 1,392,885 � Selling, general and administrative expenses 442,372 546,672 1,039,394 1,933,632 Gain on sale of property and equipment � - � � - � � - � � (8,099 ) Total Expense � 442,372 � � 546,672 � � 1,039,394 � � 1,925,533 � Operating Loss (358,880 ) (91,420 ) (678,329 ) (532,648 ) � Other Income: Interest income � 10,055 � � 14,472 � � 38,744 � � 42,215 � Total Other Income � 10,055 � � 14,472 � � 38,744 � � 42,215 � Net (Loss) Income $ (348,825 ) $ (76,948 ) $ (639,585 ) $ (490,433 ) � � � Basic and Diluted Net Loss per Share $ (.01 ) $ (.00 ) $ (.02 ) $ (.01 ) Weighted Average Shares Outstanding 39,674,348 39,542,020 39,663,461 39,850,795 � � � � � � Balance Sheet Data � March 31, 2008 � June 30, 2007 (Unaudited) (Audited) � Cash and cash equivalents $ 1,155,788 $ 1,376,632 Total current assets 1,496,353 � 1,976,825 Total assets 1,519,745 2,020,385 Total current liabilities 639,767 582,124 Accumulated deficit (27,121,915 ) (26,482,330 ) Total shareholders' equity 858,358 1,426,143 CVProfilor is a registered trademark of Hypertension Diagnostics, Inc. Hypertension Diagnostics, HDI/PulseWave, PulseWave and CVProfile are trademarks of Hypertension Diagnostics, Inc. All rights reserved. Website: www.hdii.com